Federal Direct Parent PLUS Loans

If you are a dependent, undergraduate student, your parent may qualify for the Federal Direct Parent Loan (PLUS). This loan can be used to help pay for expenses not already covered by other financial aid. Your parent may borrow up to the Cost of Attendance (excluding any other financial aid). All funds are received electronically and are posted to the student's billing account to pay tuition and fees.

Eligibility

How to Apply

The 2024-2025 Parent PLUS Loan application is currently available on the Federal Student Aid website.

To apply for the PLUS loan, your parent will need to follow these steps:

Login to the Federal Student Aid website.
Sign in with parent's FSA ID.
Under “Apply for Aid”, click “Apply for a Parent Plus Loan”
Follow all steps of the application and submit.

If approved:

Borrowing parent must complete the PLUS Loan Master Promissory Note (MPN) through the Federal Student Aid website.
Texas A&M University will receive your parent’s approved application the next business day.
The Parent PLUS Loan will be awarded within 2 business days.

If denied:

Your parent can appeal the denial on the Federal Student Aid website.
The parent can also obtain an endorser who does not have an adverse credit history.
- If the loan is later approved, Texas A&M University will receive the approved application and award the Parent PLUS Loan upon completion of the required Endorser Addendum, PLUS Credit Counseling, and Plus Loan MPN.

How to Request an Increase

To increase their current PLUS loan, your parent will need to follow these steps:

Login to the Federal Student Aid website.
Sign in with the borrowing parent's FSA ID
Under “Apply for Aid”, select “Apply for a Parent Plus Loan”
Start application
Select award year
Under reason for submitting direct plus loan request, select “Change”.
Select the Plus loan application you want to increase.
Enter the new total amount of the loan.
- Example: If your original loan was for $5,000, and you need an additional $2,000, you will enter $7,000 as the new total. If you enter a number that is LESS than your existing loan, this will be processed as a DECREASE.
Submit request

Once submitted, the request will be processed within 1-3 business days. If submitted within 180 days of the original application, a new credit check will not be required.

Interest Rates and Origination Fees

The Department of Education announces the interest rates for federal PLUS loans by July 1 of each year. Interest rates could be different each year for any new loans. The interest rate is fixed for the life of the loan.

Interest rates for Direct Parent PLUS loans

First Disbursement Date	Fixed Interest Rate
On July 1, 2024, and before July 1, 2025	9.08%

Origination Fees for Direct Parent PLUS loans

First Disbursement Date	Origination Fee
On or after October 1, 2024, and before October 1, 2025	4.228%

Repayment

Parents have the option in the application to request a deferment of the loan payments until six months after their student has graduated or otherwise dropped below half-time enrollment. Deferment can be requested through the servicer as well. If deferment is not selected, payments will be expected upon disbursement, or the paying out of the loan funds.

For more information on the PLUS loan, please visit the Federal Student Aid website.

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